A £1.2billion deal that could bring up to 25,000 and around £4billion in private sector investment to south east Wales has been signed.
The Cardiff Capital Region (CCR) city deal is expected to boost economic growth, improve transport links, help people get into work and give businesses support to grow. The deal was signed by the leaders of the 10 local authorities involved: Cardiff, Newport, Monmouthshire, Torfaen, Blaenau Gwent, Merthyr, Caerphilly, Rhondda Cynon Taf, Bridgend and the Vale of Glamorgan.
The deal includes:
£1.2billion investment in the Cardiff Capital Region's infrastructure - including the South East Wales Metro and the Valley Lines Electrification programme,
the creation of a regional transport authority to co-ordinate transport planning and investment in partnership with the Welsh Government,
creating a Cardiff Capital Region Skills and Employment Board to ensure skills and employment provision responds to the needs of local businesses and communities,
the Welsh Government and Cardiff Capital Region committing to a new partnership approach to housing development and regeneration,
ensuring there is a single voice for business to work with local authority leaders through the creation of the Cardiff Capital Region Skills and Employment Board.
Watch our Business Correspondent Carole Green's report:
The City Deal provides the springboard for Cardiff to emerge as a leading engine of growth in the UK. It will help transform Cardiff city region, expecting to unlock billions of pounds of private sector finance and deliver thousands of new jobs in south Wales.
The UK Government and Welsh Government are both contributing £500million to the CCR Investment Fund. Decisions on the prioritisation of the proposed schemes - other than the Metro - will be taken by the CCR cabinet, with business leaders and education professionals being consulted.
We have lobbied hard for a City Deal for the Cardiff Capital Region and put more than £500m on the table to support improving transport infrastructure within the region. Today’s announcement sees that vision become a reality – it is a vote of confidence in the region and a huge economic boost.
Here are some of the other key points from today's deal:
with a £1.2bn investment fund, this is biggest per capita City Deal so far, bigger than Glasgow and six main English cities,
£734m has been allocated to SE Wales Metro,
£495m has been allocated to other city-region schemes,
unlike English City Devolution Deals, this is a 20 year, not 30 year deal, so funds will materialise faster,
with a 20 year deal, and Welsh Government contribution in first seven years, the positive impact on jobs and GVA will be front loaded.
South East Wales local authorities contribution of £120m
the £50m UK Government investment in the Compound semi-conductor catapult comes in addition to the £1.2bn investment fund,
deal remains subject to relevant council approvals from all participating local authorities.
The Welsh Government has made a promotional video showing how the Metro will work: